Tuesday 19 January 2010

Microsoft and HP pump $250 million into cloud computing

Microsoft and Hewlett-Packard today announced a three-year $250 million partnership to simplify IT environments through a wide range of converged hardware, software, and professional services solutions. This is a broad agreement with many components, building on the 25-year Microsoft-HP partnership, which works toward new models for application delivery, hardware architecture, and IT operations. The goal is to deliver the "next generation computing platform" by leading the adoption of cloud computing.

The duo plans to deliver a deeply integrated IT stack for business applications that connects IT infrastructure to applications for better performance, reliability, and availability with an overall lower total cost of ownership. The deal will span various company products, including HP Converged Infrastructure optimized for Microsoft Exchange 2010 and HP's Insight Software and Business Technology Optimization software portfolio with Microsoft's System Center suite. Microsoft is also committing to buy HP hardware for its Windows Azure deployments. The partnership also includes investments in HP Technology Services and Microsoft Services to provide design, implementation, and support for the joint solutions. Finally, the two will increase their investment globally in the 32,000 HP and Microsoft Frontline channel partners by 10 times.

Integrating virtualization and systems management across heterogeneous data center and cloud environments will be key to this deal. Microsoft and HP hope the partnership will result in greater customer confidence to deploy new business capabilities that leverage existing IT investments and also take advantage of cloud resources based on Windows Azure.

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